Avoiding Insurance Claims: Top Errors Building Designers Should Watch Out For

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As a building designer, the accuracy and quality of your work are essential—not only for successful outcomes but also to protect your business.

While Professional Indemnity (PI) Insurance offers vital protection, avoiding claims altogether helps you avoid increased premiums, disruptions, and policy changes.

Here are six common causes of claims—and practical ways to avoid them.

1. Communication Errors

Poor communication can result in errors or omissions in your plans.

How to reduce the risk:

Keep communication clear and consistent with all stakeholders.
Document all discussions and decisions in writing.
Review communications and design specifications before finalising plans.

2. Copyright Infringements

Using copyrighted designs or images without permission can lead to legal claims.

What to do:

Use original or properly licensed content.
Check the copyright status of third-party materials.
Obtain and keep written permission for anything not created in-house.

3. Design or Specification Errors

Minor errors in design or documentation can lead to major issues on-site.

To reduce risk:

Use advanced design tools and software.
Implement peer reviews or quality control checks
Stay current with industry standards and building codes.

4. Mismanaged Client Expectations

Unclear expectations can cause disputes, dissatisfaction, and potential claims.

Best practices:

Clearly outline project scope, budget, and timelines in writing.
Provide regular updates and maintain transparency.
Respond promptly to changes or concerns.

5. Poor Documentation

Inadequate records can make it hard to defend against a claim.

How to improve documentation:

Maintain complete files for every project.
Track all design revisions, approvals, and client communications
Keep records well after project completion.

6. Overlooked Site & Structural Issues

Ignoring site-specific risks—such as drainage, vegetation, waterproofing, or ventilation—can result in structural defects.

Mitigation tips:

Assess drainage needs early and include effective solutions.
Plan around existing vegetation to avoid root or moisture issues.
Integrate waterproofing and ventilation into the design.
Collaborate with specialists as needed.

Final Thoughts

By addressing these risks early, building designers can avoid common PI claims and maintain a strong reputation. At CGIB, we help our clients understand and manage their risks with tailored insurance solutions and expert guidance. Have questions? We're here to help.